Last month we posted that the Department of Labor is contemplating new rules for several categories of overtime exemption. The changes are mostly in regard to the minimum weekly average wage for employees to qualify for these exemptions. The current min. for administrative or executive exemption is just over $23,000 per year or $455 per week.
We are all waiting for the other shoe to drop but most “experts” feel the new level will be somewhere between $49,000 and $50,000 per year. This is base on a percentage of average wage that was listed in the proposed rules.
The rule was sent to the Office of Management and Budget for review in the middle of March. OMB typically takes 30-60 days for review. We’re currently right in the middle of that window and expect something soon.
We will let you know as soon as the final rule and effective dates are known.